The research firm credits Samsung for this growth, likely thanks to the popularity of the Galaxy S5 and Galaxy Note 3, which boast 5.1in and 5.7in screens, respectively.

Canalys analyst Jessica Kwee said, "This is still a market segment led by Samsung, but the trend is unmistakably toward larger-screen handsets at the high end of the market. It held a 44 percent share of devices with displays of 5in and above, and 53 percent if the view is narrowed to look at 5.5in plus displays."

However, Huawei and Sony have also made their marks on the phablet market, Canalys noted, adding that Apple likely will soon join them with the rumoured 5.5in iPhone 6.

"But many other vendors, such as Lenovo, Huawei, LG and Sony, have also achieved significant volumes in this space with products at the top end of their portfolios. Consumers now expect high-end devices to have large displays, and Apple's absence in this market will clearly not last long," Kwee added.

"Apple plainly needs a larger-screen smart phone to remain competitive, and it will look to address this in the coming months."